The past week saw once mighty General Motors and once scrappy Chrysler accept a government handout to keep the two auto manufacturers solvent until a new Administration takes office. Nobody expects the money to last past the first quarter of 2009. Everybody expects GM and Chrysler to return for more. The questions are when, and what color lipstick they’ll put on the pig.
Perhaps our nation’s prestigious business schools will add a seminar on the best way to wheedle money out of Congress to their graduate-level business degrees: BUS 473, Kissing Federal Butt as an Alternative to Responsible Cost Management. The CEOs of GM and Chrysler, and the head of the UAW, can be guest lecturers. The honoraria earned can be donated to their retirement accounts.
On the other hand, Ford surprised many people by not taking any money.
Instead, the company’s management has spent the last little while shoring its balance sheet up against bad news.
Today, Ford announced that its hybrid Fusion had completed its fuel economy certification and would carry an EPA label of 41 mpg for city driving and 36 mpg on the highway.
Company data sheets claim that the car will cruise at up to 47 mph on battery power alone. Above that, the gas engine kicks in to increase speed and recharge the battery. Speaking for myself, that would be sufficient for toodling around locally, running errands.
I am especially taken by this description of the braking system:
Regenerative brake system, which captures the energy normally lost through friction in braking and stores it. Nearly 94 percent energy recovery is achieved by delivering full regenerative braking, which means only 6 percent of braking is through traditional friction brakes.
The car is due to dealerships for Spring sales.
Tags: auto bailout, chrysler, ford, Ford Motor Company, general motors, GM, Politics
